Mortgage Rates Drop From 7-Year Highs

• May 31st 2018

by UrbanTurf Staff

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Long-term mortgage rates fell slightly this week. 

On Thursday, Freddie Mac reported 4.56 percent with an average 0.4 point as the average for a 30-year mortgage. It is a ten basis point drop from last week's rates and a slight reprieve from the upward trajectory that rates have been on in 2018. 

“The decline was driven by recent trade and geopolitical issues, which led to a sudden decrease in long-term Treasury yields,” Freddie Mac chief economist Sam Khater said. “Meanwhile, confident American consumers shrugged off the market volatility, as purchase mortgage applications continued to trend higher from a year ago.” 

A recent UrbanTurf poll revealed that some buyers are indeed shrugging off the increase in rates, but others aren't. 30 percent of buyers polled said that they would be delaying their search for a new home as a result of rising rates. 

The UrbanTurf Mortgage Rate Disclaimer: The rates reported by Freddie Mac for 30-year mortgages are usually the best rates that the most qualified borrowers can get, so borrowers or those considering refinancing should not necessarily read this news and think that they can go out and get a loan with the quoted interest rate.

This article originally published at https://dc.urbanturf.com/articles/blog/mortgage-rates-drop-from-7-year-highs/14053.